Monday saw the Australian dollar edge downward against most of its rivals in the aftermath of rough waters of negotiations in the world's largest economy regarding the fiscal cliff, Bloomberg reports.
So too did the monetary unit of New Zealand slip in value on Monday against most of its counterparts after the back-up plan issued by Speaker of the House John Boehner did not collect as much support as was needed from his own party late last week. Both Boehner and President Barack Obama are not in Washington, which leaves minimal time and opportunity for the leaders to work out a pact before the new year.
"We do still have the fiscal cliff issues in the U.S. hanging over the market," Todd Elmer, head of group of 10 foreign exchange strategy for Asia excluding Japan with Citigroup Inc. in Singapore, told the news source on Monday. "However, I think if you do see lower levels in the Aussie it's a great buying opportunity."
However, the monetary unit of Australia did advance against the Japanese yen, which dropped as incoming Prime Minister Shinzo Abe again leaned on the central bank to establish an inflation target of 2 percent.
But minimal trading was occurring on Monday as the world prepared to mark Christmas, according to Dow Jones Newswires.
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